Binance ‘wants blood’ amid sub-$60K Bitcoin target
2024.08.27 07:33
Bitcoin (BTC) faces a potential “liquidation cascade” toward $50,000, analysis warns as the BTC price rebound fizzles.
In his latest market commentary on X, popular trader Credible Crypto paints a grim short-term picture for Bitcoin bulls.
BTC price analysis warns “range lows” could return
BTC price action may be up by around 40% from its August swing low, but the market is struggling to hold on to its latest gains.
Data from Cointelegraph Markets Pro and TradingView shows BTC/USD circling 1% losses on Aug. 27, dipping from local highs of $65,100 on Bitstamp the day prior.
BTC/USD 1-hour chart. Source: TradingView
For market participants, the writing is already on the wall — buyers, some argue, are not in a suitable position to sustain the short-term uptrend.
“Binance wants blood,” Credible Crypto told X followers.
“Since our local top Coinbase spot takers have actually begun buying again but Binance spot takers are selling 2x as much. OI still quite high and lots of liquidity below.”
Binance BTC order book data. Source: Credible Crypto/X
Credible Crypto referred to open interest on largest global exchange Binance’s Bitcoin futures market, alongside spot market selling volume.
“If Binance sellers keep up the sell pressure it could trigger a liquidation cascade back down to our range lows (I’m expecting this as I’ve made clear over the last few days, the question right now is simply how long it will take to occur),” he concluded.
Similarly skeptical about upside continuation is fellow trader Crypto Chase.
In his latest trading strategy update to X followers, he eyed the possibility of a return below the $60,000 mark.
“If we lose 59K~ cleanly, I think we head back towards mid 50K’s if not lower,” he summarized.
Crypto Chase acknowledged that the picture could still swing in bulls’ favor, with late bids in that range potentially remaining unfilled.
BTC/USDT perp chart for Binance. Source: Crypto Chase/X
Bitcoin ETF inflows boost bullish bets
Macro-based perspectives, meanwhile, focus on the potential of the Bitcoin and crypto markets to outpace the broader risk-asset comeback.
Related: BTC price dip gone by September? 5 things to know in Bitcoin this week
Thanks to the prospect of United States financial policy easing in the form of interest rate cuts, trading firm QCP Capital argues, the future should contain pleasant surprises for crypto bulls.
In its latest bulletin to Telegram channel subscribers, QCP flagged ongoing strong inflows to the US spot Bitcoin exchange-traded funds (ETFs) as a sign of overall market health.
These, it noted, ran in contrast to net outflows for the newly-launched spot Ether (ETH) ETF products.
“BTC spot ETFs have seen strong inflows for 12 consecutive days, while ETH spot ETFs have faced outflows for 8 days,” it wrote.
“BTC’s dominance in the options market reflects the macro-driven nature of the current rate-cut regime.”
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
